I 

115TH CONGRESS 

1ST SESSION H. R. 4239 

To distribute revenues from oil and gas leasing on the outer Continental 

Shelf to certain coastal States, to require sale of approved offshore 

oil and gas leases, to promote offshore wind lease sales, and to empower 

States to manage the development and production of oil and gas on 

available Federal land, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 3, 2017 

Mr. SCALISE (for himself, Mr. BISHOP of Utah, Mr. GONZALEZ of Texas, and 

Mr. CUELLAR) introduced the following bill; which was referred to the 

Committee on Natural Resources 

A BILL 

To distribute revenues from oil and gas leasing on the outer 

Continental Shelf to certain coastal States, to require 

sale of approved offshore oil and gas leases, to promote 

offshore wind lease sales, and to empower States to 

manage the development and production of oil and gas 

on available Federal land, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

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1 sources to Expand American Energy Act’’ or the ‘‘SE2 CURE American Energy Act’’. 

3 (b) TABLE OF CONTENTS.—The table of contents for 

4 this Act is the following: 

Sec. 1. Short title; table of contents. 

TITLE I—OFFSHORE 

Sec. 101. Short title. 

Sec. 102. Disposition of revenues from oil and gas leasing on the outer Continental Shelf to producing States. 

Sec. 103. Limitations on the amount of distributed qualified outer Continental 

Shelf revenues under the Gulf of Mexico Energy Security Act 

of 2006. 

Sec. 104. Limitation of authority of the President to withdraw areas of the 

outer Continental Shelf from oil and gas leasing. 

Sec. 105. Modification to the outer Continental Shelf leasing program. 

Sec. 106. Inspection fee collection. 

Sec. 107. Arctic rule shall have no force or effect. 

Sec. 108. Application of outer Continental Shelf Lands Act with respect to territories of the United States. 

Sec. 109. Wind lease sales on the outer Continental Shelf. 

Sec. 110. Reducing permitting delays for taking of marine mammals. 

TITLE II—ONSHORE 

Sec. 201. Short title. 

Sec. 202. Cooperative federalism in oil and gas permitting on available Federal 

land. 

Sec. 203. Conveyance to certain States of property interest in State share of 

royalties and other payments. 

Sec. 204. Permitting on non-Federal surface estate. 

Sec. 205. State and Tribal authority for hydraulic fracturing regulation. 

Sec. 206. Review of Integrated Activity Plan for the National Petroleum Reserve in Alaska. 

5 TITLE I—OFFSHORE 

6 SEC. 101. SHORT TITLE. 

7 This title may be cited as the ‘‘Accessing Strategic 

8 Resources Offshore Act’’ or the ‘‘ASTRO Act’’. 


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1 SEC. 102. DISPOSITION OF REVENUES FROM OIL AND GAS 

2 LEASING ON THE OUTER CONTINENTAL 

3 SHELF TO PRODUCING STATES. 

4 Section 9 of the Outer Continental Shelf Lands Act 

5 (43 U.S.C. 1338) is amended— 

6 (1) by striking ‘‘All rentals’’ and inserting the 

7 following: 

8 ‘‘(a) IN GENERAL.—Except as otherwise provided in 

9 this section, all rentals’’; and 

10 (2) by adding at the end the following: 

11 ‘‘(b) DISTRIBUTION OF REVENUE TO PRODUCING

12 STATES.— 

13 ‘‘(1) DEFINITIONS.—In this subsection: 

14 ‘‘(A) COVERED PLANNING AREA.— 

15 ‘‘(i) IN GENERAL.—Subject to clause 

16 (ii), the term ‘covered planning area’ 

17 means each of the following planning 

18 areas, as such planning areas are generally 

19 depicted in the later of the 2017–2022 

20 Outer Continental Shelf Oil and Gas Leas21 ing Proposed Final Program, dated 16 No22 vember, 2016, or a subsequent oil and gas 

23 leasing program developed under section 

24 18 of the Outer Continental Shelf Lands 

25 Act (43 U.S.C. 1344): 

26 ‘‘(I) Mid-Atlantic. 


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1 ‘‘(II) South Atlantic. 

2 ‘‘(III) Any planning area located 

3 off the coast of Alaska. 

4 ‘‘(ii) EXCLUSIONS.—The term ‘cov5 ered planning area’ does not include any 

6 area in the Atlantic— 

7 ‘‘(I) north of the southernmost 

8 lateral seaward administrative bound9 ary of the State of Maryland; or 

10 ‘‘(II) south of the northernmost 

11 lateral seaward administrative bound12 ary of the State of Florida. 

13 ‘‘(B) PRODUCING STATE.—The term ‘pro14 ducing State’ means each of the following 

15 States: 

16 ‘‘(i) Virginia. 

17 ‘‘(ii) North Carolina. 

18 ‘‘(iii) South Carolina. 

19 ‘‘(iv) Georgia. 

20 ‘‘(v) Alaska. 

21 ‘‘(C) QUALIFIED REVENUES.— 

22 ‘‘(i) IN GENERAL.—The term ‘quali23 fied revenues’ means revenues derived from 

24 rentals, royalties, bonus bids, and other 

25 sums due and payable to the United States 


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1 under oil and gas leases entered into on or 

2 after the date of the enactment of this Act 

3 for an area in a covered planning area. 

4 ‘‘(ii) EXCLUSIONS.—The term ‘quali5 fied revenues’ does not include— 

6 ‘‘(I) revenues from the forfeiture 

7 of a bond or other surety securing ob8 ligations other than royalties, civil 

9 penalties, or royalties taken by the 

10 Secretary in-kind and not sold; 

11 ‘‘(II) revenues generated from 

12 leases subject to section 8(g); and 

13 ‘‘(III) the portion of rental reve14 nues in excess of those that would 

15 have been collected at the rental rates 

16 in effect before August 5, 1993. 

17 ‘‘(2) DEPOSIT OF QUALIFIED REVENUES.— 

18 ‘‘(A) PHASE I.—With respect to qualified 

19 revenues under leases awarded under the first 

20 leasing program approved under section 18(a) 

21 that takes effect after the date of the enact22 ment of this section, the Secretary of the Treas23 ury shall deposit or allocate, as applicable— 

24 ‘‘(i) 87.5 percent into the general 

25 fund of the Treasury; and 


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1 ‘‘(ii) 12.5 percent to States in accord2 ance with paragraph (3). 

3 ‘‘(B) PHASE II.—With respect to qualified 

4 revenues under leases awarded under the sec5 ond leasing program approved under section 

6 18(a) that takes effect after the date of the en7 actment of this section, the Secretary of the 

8 Treasury shall deposit or allocate, as applica9 ble— 

10 ‘‘(i) 75 percent into the general fund 

11 of the Treasury; and 

12 ‘‘(ii) 25 percent to States in accord13 ance with paragraph (3). 

14 ‘‘(C) PHASE III.—With respect to qualified 

15 revenues under leases awarded under the third 

16 leasing program approved under section 18(a) 

17 that takes effect after the date of the enact18 ment of this section and under any such leasing 

19 program subsequent to such third leasing pro20 gram, the Secretary of the Treasury shall de21 posit or allocate, as applicable— 

22 ‘‘(i) 50 percent into the general fund 

23 of the Treasury; and 


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1 ‘‘(ii) 50 percent into a special account 

2 in the Treasury from which the Secretary 

3 of the Treasury shall disburse— 

4 ‘‘(I) 75 percent to States in ac5 cordance with paragraph (3); 

6 ‘‘(II) 12.5 percent to the Sec7 retary of Transportation for energy 

8 infrastructure development in coastal 

9 ports; and 

10 ‘‘(III) 12.5 percent to the Sec11 retary of the Interior for units of the 

12 National Park System. 

13 ‘‘(3) ALLOCATION TO PRODUCING STATES.— 

14 ‘‘(A) IN GENERAL.—Subject to subpara15 graph (B), the Secretary of the Treasury shall 

16 allocate the qualified revenues distributed to 

17 States under paragraph (2) to each producing 

18 State in an amount based on a formula estab19 lished by the Secretary of the Interior, by regu20 lation, that— 

21 ‘‘(i) is inversely proportional to the re22 spective distances between— 

23 ‘‘(I) the point on the coastline of 

24 the producing State that is closest to 


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1 the geographical center of the applica2 ble leased tract; and 

3 ‘‘(II) the geographical center of 

4 that leased tract; 

5 ‘‘(ii) does not allocate qualified reve6 nues to any producing State that is further 

7 than 200 nautical miles from the leased 

8 tract; and 

9 ‘‘(iii) allocates not less than 10 per10 cent of qualified revenues to each pro11 ducing State that is 200 or fewer nautical 

12 miles from the leased tract. 

13 ‘‘(B) PAYMENTS TO COASTAL POLITICAL

14 SUBDIVISIONS.— 

15 ‘‘(i) IN GENERAL.—The Secretary of 

16 the Treasury shall pay 20 percent of the 

17 allocable share of each producing State de18 termined under this paragraph to the 

19 coastal political subdivisions of the pro20 ducing State. 

21 ‘‘(ii) ALLOCATION.—The amount paid 

22 by the Secretary of the Treasury to coastal 

23 political subdivisions shall be allocated to 

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1 ance with subparagraphs (B) and (E) of 

2 section 31(b)(4). 

3 ‘‘(iii) DEFINITION OF COASTAL POLIT4 ICAL SUBDIVISION.—In this subparagraph, 

5 the term ‘coastal political subdivision’ 

6 means— 

7 ‘‘(I) with respect to a contiguous 

8 coastal State, a political subdivision of 

9 such State, any part of which is— 

10 ‘‘(aa) within the coastal zone 

11 of the State (as defined in sec12 tion 304 of the Coastal Zone 

13 Management Act of 1972 (16 

14 U.S.C. 1453)); and 

15 ‘‘(bb) not more than 200 

16 nautical miles from the geo17 graphic center of any leased 

18 tract; and 

19 ‘‘(II) with respect to a noncontig20 uous coastal State— 

21 ‘‘(aa) a county-equivalent 

22 subdivision of the State for 

23 which— 

24 ‘‘(AA) all or part lies 

25 within the coastal zone of 


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1 the State (as defined in sec2 tion 304 of the Coastal Zone 

3 Management Act of 1972 

4 (16 U.S.C. 1453)); and 

5 ‘‘(BB) the closest coast6 al point is not more than 

7 200 nautical miles from the 

8 geographical center of any 

9 leased tract on the outer 

10 Continental Shelf; or 

11 ‘‘(bb) a municipal subdivi12 sion of the State for which— 

13 ‘‘(AA) the closest point 

14 is more than 200 nautical 

15 miles from the geographical 

16 center of a leased tract on 

17 the outer Continental Shelf; 

18 and 

19 ‘‘(BB) the State has 

20 determined to be a signifi21 cant staging area for oil and 

22 gas servicing, supply vessels, 

23 operations, suppliers, or 

24 workers. 


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1 ‘‘(4) ADMINISTRATION.—Amounts made avail2 able under paragraph (2)(B) shall— 

3 ‘‘(A) be made available, without further 

4 appropriation, in accordance with this sub5 section; 

6 ‘‘(B) remain available until expended; 

7 ‘‘(C) be in addition to any amounts appro8 priated under— 

9 ‘‘(i) chapter 2003 of title 54, United 

10 States Code; 

11 ‘‘(ii) any other provision of this Act; 

12 and 

13 ‘‘(iii) any other provision of law; and 

14 ‘‘(D) be made available during the fiscal 

15 year immediately following the fiscal year in 

16 which such amounts were received.’’. 

17 SEC. 103. LIMITATIONS ON THE AMOUNT OF DISTRIBUTED 

18 QUALIFIED OUTER CONTINENTAL SHELF 

19 REVENUES UNDER THE GULF OF MEXICO EN20 ERGY SECURITY ACT OF 2006. 

21 Section 105(f)(1) of the Gulf of Mexico Energy Secu22 rity Act of 2006 (43 U.S.C. 1331 note) is amended to 

23 read as follows: 

24 ‘‘(1) IN GENERAL.—The total amount of quali25 fied outer Continental Shelf revenues described in 


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1 section 102(9)(A)(ii) that are made available under 

2 subsection (a)(2) shall remain available until ex3 pended and shall not exceed— 

4 ‘‘(A) for each of fiscal years 2019 through 

5 2028, $500,000,000; and 

6 ‘‘(B) for each of fiscal years 2029 through 

7 2059, $749,800,000.’’. 

8 SEC. 104. LIMITATION OF AUTHORITY OF THE PRESIDENT 

9 TO WITHDRAW AREAS OF THE OUTER CONTI10 NENTAL SHELF FROM OIL AND GAS LEASING. 

11 (a) LIMITATION ON WITHDRAWAL FROM DISPOSI12 TION OF LANDS ON THE OUTER CONTINENTAL SHELF.— 

13 Section 12 of the Outer Continental Shelf Lands Act (43 

14 U.S.C. 1341) is amended by amending subsection (a) to 

15 read as follows: 

16 ‘‘(a) LIMITATION ON WITHDRAWAL.— 

17 ‘‘(1) IN GENERAL.—Except as otherwise pro18 vided in this section, no lands of the outer Conti19 nental Shelf may be withdrawn from disposition ex20 cept by an Act of Congress. 

21 ‘‘(2) NATIONAL MARINE SANCTUARIES.—The 

22 President may withdraw from disposition any of the 

23 unleased lands of the outer Continental Shelf located 

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1 ance with the National Marine Sanctuaries Act (16 

2 U.S.C. 1431 et seq.) or otherwise by statute. 

3 ‘‘(3) EXISTING WITHDRAWALS.— 

4 ‘‘(A) IN GENERAL.—Except for the with5 drawals listed in subparagraph (B), any with6 drawal from disposition of lands on the outer 

7 Continental Shelf before the date of the enact8 ment of this subsection shall have no force or 

9 effect. 

10 ‘‘(B) EXCEPTIONS.—Subparagraph (A) 

11 shall not apply to the following withdrawals: 

12 ‘‘(i) Any withdrawal in a national ma13 rine sanctuary designated in accordance 

14 with the National Marine Sanctuaries Act. 

15 ‘‘(ii) Any withdrawal in a national 

16 monument declared under section 320301 

17 of title 54, United States Code, or the Act 

18 of June 8, 1906 (ch. 3060; 34 Stat. 225). 

19 ‘‘(iii) Any withdrawal in the North 

20 Aleutian Basin Planning Area, including 

21 Bristol Bay.’’. 

22 (b) TERMINATION OF AUTHORITY TO ESTABLISH

23 MARINE NATIONAL MONUMENTS.—Section 320301 of 

24 title 54, United States Code, is amended by adding at the 

25 end the following: 


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1 ‘‘(e) LIMITATION ON MARINE NATIONAL MONU2 MENTS.— 

3 ‘‘(1) IN GENERAL.—Notwithstanding sub4 sections (a) and (b), the President may not declare 

5 or reserve any ocean waters (as such term is defined 

6 in section 3 of the Marine Protection, Research, and 

7 Sanctuaries Act of 1972 (33 U.S.C. 1402)) or lands 

8 beneath ocean waters as a national monument. 

9 ‘‘(2) MARINE NATIONAL MONUMENTS DES10 IGNATED BEFORE THE DATE OF THE ENACTMENT

11 OF THIS SUBSECTION.—This subsection shall not af12 fect any national monument designated by the Presi13 dent before the date of the enactment of this Act.’’. 

14 SEC. 105. MODIFICATION TO THE OUTER CONTINENTAL 

15 SHELF LEASING PROGRAM. 

16 Section 18(e) of the Outer Continental Shelf Lands 

17 Act (43 U.S.C. 1344(e)) is amended by adding at the end 

18 the following: ‘‘The Secretary shall include in any such 

19 revised leasing program each unexecuted lease sale that 

20 was included in the most recent leasing program and the 

21 Secretary shall execute each such lease sale as close as 

22 practicable to the time specified in the most recent leasing 

23 program. Section 102(2)(C) of the National Environ24 mental Policy Act of 1969 (42 U.S.C. 4332) shall be 

25 deemed to have been satisfied with respect to the execution 


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1 of such unexecuted lease sales if the Secretary, in the Sec2 retary’s sole discretion, determines that such section was 

3 satisfied with respect to such unexecuted lease sales for 

4 the most recent leasing program.’’. 

5 SEC. 106. INSPECTION FEE COLLECTION. 

6 Section 22 of the Outer Continental Shelf Lands Act 

7 (43 U.S.C. 1348) is amended by adding at the end the 

8 following: 

9 ‘‘(g) INSPECTION FEES.— 

10 ‘‘(1) ESTABLISHMENT.—The Secretary of the 

11 Interior shall collect from the operators of facilities 

12 subject to inspection under subsection (c) non-re13 fundable fees for such inspections— 

14 ‘‘(A) at an aggregate level equal to the 

15 amount necessary to offset the annual expenses 

16 of inspections of outer Continental Shelf facili17 ties (including mobile offshore drilling units) by 

18 the Secretary of the Interior; and 

19 ‘‘(B) using a schedule that reflects the dif20 ferences in complexity among the classes of fa21 cilities to be inspected. 

22 ‘‘(2) OCEAN ENERGY SAFETY FUND.—There is 

23 established in the Treasury a fund, to be known as 

24 the ‘Ocean Energy Enforcement Fund’ (referred to 

25 in this subsection as the ‘Fund’), into which shall be 


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1 deposited all amounts collected as fees under para2 graph (1) and which shall be available as provided 

3 under paragraph (3). 

4 ‘‘(3) AVAILABILITY OF FEES.— 

5 ‘‘(A) IN GENERAL.—Notwithstanding sec6 tion 3302 of title 31, United States Code, all 

7 amounts deposited in the Fund— 

8 ‘‘(i) shall be credited as offsetting col9 lections; 

10 ‘‘(ii) shall be available for expenditure 

11 for purposes of carrying out inspections of 

12 outer Continental Shelf facilities (including 

13 mobile offshore drilling units) and the ad14 ministration of the inspection program 

15 under this section; 

16 ‘‘(iii) shall be available only to the ex17 tent provided for in advance in an appro18 priations Act; and 

19 ‘‘(iv) shall remain available until ex20 pended. 

21 ‘‘(B) USE FOR FIELD OFFICES.—Not less 

22 than 75 percent of amounts in the Fund may 

23 be appropriated for use only for the respective 

24 Department of the Interior field offices where 

25 the amounts were originally assessed as fees. 


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1 ‘‘(4) INITIAL FEES.—Fees shall be established 

2 under this subsection for the fiscal year in which 

3 this subsection takes effect and the subsequent 10 

4 years, and shall not be raised, except as determined 

5 by the Secretary to be appropriate as an adjustment 

6 equal to the percentage by which the Consumer 

7 Price Index for the month of June of the calendar 

8 year preceding the adjustment exceeds the Consumer 

9 Price Index for the month of June of the calendar 

10 year in which the claim was determined or last ad11 justed. 

12 ‘‘(5) ANNUAL FEES.—Annual fees shall be col13 lected under this subsection for facilities that are 

14 above the waterline, excluding drilling rigs, and are 

15 in place at the start of the fiscal year. Fees for fiscal 

16 year 2019 shall be— 

17 ‘‘(A) $10,500 for facilities with no wells, 

18 but with processing equipment or gathering 

19 lines; 

20 ‘‘(B) $17,000 for facilities with 1 to 10 

21 wells, with any combination of active or inactive 

22 wells; and 

23 ‘‘(C) $31,500 for facilities with more than 

24 10 wells, with any combination of active or in25 active wells. 


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1 ‘‘(6) FEES FOR DRILLING RIGS.—Fees shall be 

2 collected under this subsection for drilling rigs on a 

3 per inspection basis. Fees for fiscal year 2019 shall 

4 be— 

5 ‘‘(A) $30,500 per inspection for rigs oper6 ating in water depths of 1,000 feet or more; 

7 and 

8 ‘‘(B) $16,700 per inspection for rigs oper9 ating in water depths of less than 1,000 feet. 

10 ‘‘(7) BILLING.—The Secretary shall bill des11 ignated operators under paragraph (5) annually, 

12 with payment required within 30 days of billing. The 

13 Secretary shall bill designated operators under para14 graph (6) within 30 days of the end of the month 

15 in which the inspection occurred, with payment re16 quired within 30 days after billing. 

17 ‘‘(8) ANNUAL REPORTS.— 

18 ‘‘(A) IN GENERAL.—Not later than 60 

19 days after the end of each fiscal year beginning 

20 with fiscal year 2019, the Secretary shall sub21 mit to the Committee on Energy and Natural 

22 Resources of the Senate and the Committee on 

23 Natural Resources of the House of Representa24 tives a report on the operation of the Fund dur25 ing the fiscal year. 


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1 ‘‘(B) CONTENTS.—Each report shall in2 clude, for the fiscal year covered by the report, 

3 the following: 

4 ‘‘(i) A statement of the amounts de5 posited into the Fund. 

6 ‘‘(ii) A description of the expenditures 

7 made from the Fund for the fiscal year, in8 cluding the purpose of the expenditures 

9 and the additional hiring of personnel. 

10 ‘‘(iii) A statement of the balance re11 maining in the Fund at the end of the fis12 cal year. 

13 ‘‘(iv) An accounting of pace of permit 

14 approvals. 

15 ‘‘(v) If fee increases are proposed, a 

16 proper accounting of the potential adverse 

17 economic impacts such fee increases will 

18 have on offshore economic activity and 

19 overall production. 

20 ‘‘(vi) Recommendations to increase 

21 the efficacy and efficiency of offshore in22 spections. 

23 ‘‘(vii) Any corrective actions levied 

24 upon offshore inspectors as a result of any 

25 form of misconduct. 


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1 ‘‘(9) SUNSET.—No fee may be collected under 

2 this subsection for any fiscal year after fiscal year 

3 2029.’’. 

4 SEC. 107. ARCTIC RULE SHALL HAVE NO FORCE OR EF5 FECT. 

6 The rule entitled ‘‘Oil and Gas and Sulfur Operations 

7 on the Outer Continental Shelf—Requirements for Ex8 ploratory Drilling on the Arctic Outer Continental Shelf’’ 

9 and published in the Federal Register on July 15, 2016 

10 (81 Fed. Reg. 46478), shall have no force or effect. 

11 SEC. 108. APPLICATION OF OUTER CONTINENTAL SHELF 

12 LANDS ACT WITH RESPECT TO TERRITORIES 

13 OF THE UNITED STATES. 

14 (a) IN GENERAL.—Section 2 of the Outer Conti15 nental Shelf Lands Act (43 U.S.C. 1331) is amended— 

16 (1) in paragraph (a), by inserting after ‘‘con17 trol’’ the following: ‘‘or lying within exclusive eco18 nomic zone of the United States’’; 

19 (2) in paragraph (p), by striking ‘‘and’’ after 

20 the semicolon at the end; 

21 (3) in paragraph (q), by striking the period at 

22 the end and inserting ‘‘; and’’; and 

23 (4) by adding at the end the following: 

24 ‘‘(r) The term ‘State’ includes each territory of the 

25 United States.’’. 


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1 (b) EXCLUSIONS.— 

2 (1) Section 4(a) of the Outer Continental Shelf 

3 Lands Act (43 U.S.C. 1333) is amended by adding 

4 at the end the following: 

5 ‘‘(4) This section shall not apply to the terri6 tories and possessions of the United States.’’. 

7 (2) Section 18 of the Outer Continental Shelf 

8 Lands Act (43 U.S.C. 1344) is amended by adding 

9 at the end the following: 

10 ‘‘(i) This section shall not apply to the scheduling of 

11 lease sales in the outer Continental Shelf adjacent to the 

12 territories and possessions of the United States.’’. 

13 (c) EXPLORATION LICENSES AND LEASES.—Section 

14 8(k) of the Outer Continental Shelf Lands Act (43 U.S.C. 

15 1337) is amended by adding at the end the following: 

16 ‘‘(3) EXPLORATION LICENSES AND LEASES ON

17 OUTER CONTINENTAL SHELF ADJACENT TO TERRI18 TORIES AND POSSESSIONS.— 

19 ‘‘(A) IN GENERAL.—The Secretary is au20 thorized to grant to any qualified applicant an 

21 exploration license which will provide the exclu22 sive right to explore for minerals, other than 

23 oil, gas, and sulphur, in an area lying within 

24 the United States exclusive economic zone and 


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1 the outer Continental Shelf adjacent to any ter2 ritory or possession of the United States. 

3 ‘‘(B) APPLICATION.—Subsection (a) shall 

4 not apply to any area conveyed by Congress to 

5 a territorial government for administration. 

6 ‘‘(C) EXPLORATION LICENSE DURATION.— 

7 Exploration licenses granted under this para8 graph will be issued for a period pursuant to 

9 regulations prescribed by the Secretary. 

10 ‘‘(D) LEASE.—Upon showing to the satis11 faction of the Secretary that valuable mineral 

12 deposits have been discovered by the licensee 

13 within the area described by the exploration li14 cense of the licensee, the licensee will be enti15 tled to a lease for any or all of that area at a 

16 royalty rate established by regulation and lease 

17 terms. 

18 ‘‘(E) LEASE DURATION.—Leases under 

19 this section will be issued for a period estab20 lished by regulation with a preferential right in 

21 the lessee to renew.’’. 


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1 SEC. 109. WIND LEASE SALES ON THE OUTER CONTI2 NENTAL SHELF. 

3 The Outer Continental Shelf Lands Act (43 U.S.C. 

4 1331 et seq.) is amended by adding at the end the fol5 lowing: 

6 ‘‘SEC. 33. WIND LEASE SALES ON THE OUTER CONTINENTAL 

7 SHELF. 

8 ‘‘(a) AUTHORIZATION.—The Secretary may conduct 

9 wind lease sales on the outer Continental Shelf. 

10 ‘‘(b) WIND LEASE SALE PROCEDURE.—Any wind 

11 lease sale conducted under this section shall be considered 

12 a lease under section 8(p). 

13 ‘‘(c) WIND LEASE SALE OFF COAST OF CALI14 FORNIA.—The Secretary, in consultation with the Sec15 retary of Defense, shall offer a wind lease sale on the outer 

16 Continental shelf off the coast of California as soon as 

17 practicable, but not later than one year after the date of 

18 enactment of this section. 

19 ‘‘(d) WIND LEASE SALES OFF COAST OF PUERTO

20 RICO, VIRGIN ISLANDS OF THE UNITED STATES, AND

21 GUAM.— 

22 ‘‘(1) STUDY ON FEASIBILITY OF CONDUCTING

23 WIND LEASE SALES OFF COAST OF PUERTO RICO, 

24 VIRGIN ISLANDS OF THE UNITED STATES, AND

25 GUAM.— 


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1 ‘‘(A) STUDY.—The Director of the Bureau 

2 of Ocean Energy Management shall conduct a 

3 study on the feasibility, including the long term 

4 economic feasibility, of conducting wind lease 

5 sales on the outer Continental Shelf off the 

6 coast of Puerto Rico, the Virgin Islands of the 

7 United States, and Guam. 

8 ‘‘(B) SUBMISSION OF RESULTS.—Not later 

9 than 180 days after the date of the enactment 

10 of this section, the Director of the Bureau of 

11 Ocean Energy Management shall submit to 

12 Congress the results of the study conducted 

13 under subparagraph (A). 

14 ‘‘(2) WIND LEASE SALES CONDITIONAL UPON

15 RESULTS OF STUDY.— 

16 ‘‘(A) WIND LEASE SALE OFF COAST OF

17 PUERTO RICO.—If the study required under 

18 paragraph (1)(A) concludes that a wind lease 

19 sale on the outer Continental Shelf off the coast 

20 of Puerto Rico is feasible, then the Secretary 

21 shall offer a wind lease sale on the outer Conti22 nental shelf off the coast of Puerto Rico as soon 

23 as practicable, but not later than one year after 

24 the date of the enactment of this section. 


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1 ‘‘(B) WIND LEASE SALE OFF COAST OF

2 VIRGIN ISLANDS OF THE UNITED STATES.—If 

3 the study required under paragraph (1)(A) con4 cludes that a wind lease sale on the outer Con5 tinental Shelf off the coast of the Virgin Islands 

6 of the United States is feasible, then the Sec7 retary shall offer a wind lease sale on the outer 

8 Continental shelf off the coast of the Virgin Is9 lands of the United States as soon as prac10 ticable, but not later than one year after the 

11 date of the enactment of this section. 

12 ‘‘(C) WIND LEASE SALE OFF COAST OF

13 GUAM.—If the study required under paragraph 

14 (1)(A) concludes that a wind lease sale on the 

15 outer Continental Shelf off the coast of Guam 

16 is feasible, then the Secretary shall offer a wind 

17 lease sale on the outer Continental shelf off the 

18 coast of Guam as soon as practicable, but not 

19 later than one year after the date of the enact20 ment of this section. 

21 ‘‘(e) WIND LEASE SALE OFF COAST OF HAWAII.— 

22 ‘‘(1) STUDY ON FEASIBILITY OF CONDUCTING

23 WIND LEASE SALES OFF COAST OF THE STATE OF

24 HAWAII.— 


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1 ‘‘(A) STUDY.—The Secretary, in consulta2 tion with the Secretary of Defense, shall con3 duct a study on the feasibility of conducting 

4 wind lease sales on the outer Continental Shelf 

5 off the coast of the State of Hawaii. 

6 ‘‘(B) SUBMISSION OF RESULTS.—Not later 

7 than 180 days after the date of the enactment 

8 of this section, the Secretary shall submit to 

9 Congress the results of the study conducted 

10 under subparagraph (A). 

11 ‘‘(2) WIND LEASE SALES CONDITIONAL UPON

12 RESULTS OF STUDY.—If the study required under 

13 paragraph (1)(A) concludes that a wind lease sale on 

14 the outer Continental Shelf off the coast of the State 

15 of Hawaii is feasible, then the Secretary shall offer 

16 a wind lease sale on the outer Continental shelf off 

17 the coast of the State of Hawaii as soon as prac18 ticable, but not later than one year after the date of 

19 the enactment of this section.’’. 

20 SEC. 110. REDUCING PERMITTING DELAYS FOR TAKING OF 

21 MARINE MAMMALS. 

22 (a) ADDRESSING PERMITS FOR TAKING OF MARINE

23 MAMMALS.—Section 101(a)(5)(D) of the Marine Mammal 

24 Protection Act of 1972 (16 U.S.C. 1371(a)(5)(D)) is 

25 amended as follows: 


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1 (1) In clause (i)— 

2 (A) by striking ‘‘citizens of the United 

3 States’’ and inserting ‘‘persons’’; 

4 (B) by striking ‘‘within a specific geo5 graphic region’’; 

6 (C) by striking ‘‘of small numbers’’; 

7 (D) by striking ‘‘such citizens’’ and insert8 ing ‘‘such persons’’; and 

9 (E) by striking ‘‘within that region’’. 

10 (2) In clause (ii)— 

11 (A) in subclause (I), by striking ‘‘, and 

12 other means of effecting the least practicable 

13 impact on such species or stock and its habi14 tat’’; 

15 (B) in subclause (III), by striking ‘‘re16 quirements pertaining to the monitoring and re17 porting of such taking by harassment, includ18 ing’’ and inserting ‘‘efficient and practical re19 quirements pertaining to the monitoring of such 

20 taking by harassment while the activity is being 

21 conducted and the reporting of such taking, in22 cluding, as the Secretary determines nec23 essary,’’; and 

24 (C) by adding at the end the following: 


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1 ‘‘Any condition imposed pursuant to subclause (I), (II), 

2 or (III) may not result in more than a minor change to 

3 the specified activity and may not alter the basic design, 

4 location, scope, duration, or timing of the specified activ5 ity.’’. 

6 (3) In clause (iii), by striking ‘‘receiving an ap7 plication under this subparagraph’’ and inserting 

8 ‘‘an application is accepted or required to be consid9 ered complete under subclause (I)(aa), (II)(aa), or 

10 (IV) of clause (viii), as applicable,’’. 

11 (4) In clause (vi), by striking ‘‘a determination 

12 of ‘least practicable adverse impact on such species 

13 or stock’ under clause (i)(I)’’ and inserting ‘‘condi14 tions imposed under subclause (I), (II), or (III) of 

15 clause (ii)’’. 

16 (5) By adding at the end the following: 

17 ‘‘(viii)(I) The Secretary shall— 

18 ‘‘(aa) accept as complete a written request for 

19 authorization under this subparagraph for incidental 

20 taking described in clause (i), by not later than 45 

21 days after the date of submission of the request; or 

22 ‘‘(bb) provide to the requester, by not later than 

23 15 days after the date of submission of the request, 

24 a written notice describing any additional informa25 tion required to complete the request. 


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1 ‘‘(II) If the Secretary provides notice under subclause 

2 (I)(bb), the Secretary shall, by not later than 30 days after 

3 the date of submission of the additional information de4 scribed in the notice— 

5 ‘‘(aa) accept the written request for authoriza6 tion under this subparagraph for incidental taking 

7 described in clause (i); or 

8 ‘‘(bb) deny the request and provide the re9 quester a written explanation of the reasons for the 

10 denial. 

11 ‘‘(III) The Secretary may not under this subpara12 graph make a second request for information, request that 

13 the requester withdraw and resubmit the request, or other14 wise delay a decision on the request. 

15 ‘‘(IV) If the Secretary fails to respond to a request 

16 for authorization under this subparagraph in the manner 

17 provided in subclause (I) or (II), the request shall be con18 sidered to be complete. 

19 ‘‘(ix)(I) At least 90 days before the date of the expira20 tion of any authorization issued under this subparagraph, 

21 the holder of such authorization may apply for a one-year 

22 extension of such authorization. The Secretary shall grant 

23 such extension within 14 days after the date of such re24 quest on the same terms and without further review if 

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1 ried out under such authorization nor in the status of the 

2 marine mammal species or stock, as applicable, as re3 ported in the final annual stock assessment reports for 

4 such species or stock. 

5 ‘‘(II) In subclause (I) the term ‘substantial change’ 

6 means a change that prevents the Secretary from making 

7 the required findings to issue an authorization under 

8 clause (i) with respect to such species or stock. 

9 ‘‘(III) The Secretary shall notify the applicant of 

10 such substantial changes with specificity and in writing 

11 within 14 days after the applicant’s submittal of the exten12 sion request. 

13 ‘‘(x) If the Secretary fails to make the required find14 ings and, as appropriate, issue the authorization within 

15 120 days after the application is accepted or required to 

16 be considered complete under subclause (I)(aa), (II)(aa), 

17 or (III) of clause (viii), as applicable, the authorization 

18 is deemed to have been issued on the terms stated in the 

19 application and without further process or restrictions 

20 under this Act.’’. 

21 (b) REMOVING DUPLICATIONS.—Section 

22 101(a)(5)(D) of the Marine Mammal Protection Act of 

23 1972 (16 U.S.C. 1371(a)(5)(D)), as amended by sub24 section (a), is further amended by adding at the end the 

25 following: 


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1 ‘‘(xi) Any taking of a marine mammal in compliance 

2 with an authorization under this subparagraph is exempt 

3 from the prohibition on taking in section 9 of the Endan4 gered Species Act of 1973 (16 U.S.C. 1538). Any Federal 

5 agency authorizing, funding, or carrying out an action 

6 that results in such taking, and any agency action author7 izing such taking, is exempt from the requirement to con8 sult regarding potential impacts to marine mammal spe9 cies or designated critical habitat under section 7(a)(2) 

10 of such Act (16 U.S.C. 1536(a)(2)).’’. 

11 TITLE II—ONSHORE 

12 SEC. 201. SHORT TITLE. 

13 This title may be cited as the ‘‘Opportunities for the 

14 Nation and States to Harness Onshore Resources for En15 ergy Act’’ or the ‘‘ONSHORE Act’’. 

16 SEC. 202. COOPERATIVE FEDERALISM IN OIL AND GAS PER17 MITTING ON AVAILABLE FEDERAL LAND. 

18 (a) IN GENERAL.—The Mineral Leasing Act (30 

19 U.S.C. 181 et seq.) is amended— 

20 (1) by redesignating section 44 as section 47; 

21 and 

22 (2) by adding after section 43 the following new 

23 section: 


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1 ‘‘SEC. 44. COOPERATIVE FEDERALISM IN OIL AND GAS PER2 MITTING ON AVAILABLE FEDERAL LAND. 

3 ‘‘(a) AUTHORIZATIONS.— 

4 ‘‘(1) IN GENERAL.—Upon receipt of an applica5 tion under subsection (b), the Secretary may dele6 gate to a State exclusive authority— 

7 ‘‘(A) to issue an APD on available Federal 

8 land; or 

9 ‘‘(B) to approve drilling plans on available 

10 Federal land. 

11 ‘‘(2) SUNDRY NOTICES.—Any authorization 

12 under paragraph (1) may, upon the request of the 

13 State, include authority to issue sundry notices. 

14 ‘‘(3) INSPECTION AND ENFORCEMENT.—Any 

15 authorization under paragraph (1) may, upon the re16 quest of the State, include authorization to inspect 

17 and enforce an APD or drilling plan, as applicable. 

18 ‘‘(b) STATE APPLICATION PROCESS.— 

19 ‘‘(1) SUBMISSION OF APPLICATION.—A State 

20 may submit an application under subparagraph (A) 

21 or (B) of subsection (a)(1) to the Secretary at such 

22 time and in such manner as the Secretary may re23 quire. 

24 ‘‘(2) CONTENT OF APPLICATION.—An applica25 tion submitted under this subsection shall include— 


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1 ‘‘(A) a description of the State program 

2 that the State proposes to administer under 

3 State law; and 

4 ‘‘(B) a statement from the Governor or at5 torney general of such State that the laws of 

6 such State provide adequate authority to carry 

7 out the State program. 

8 ‘‘(3) DEADLINE FOR APPROVAL OR DIS9 APPROVAL.—Not later than 180 days after the date 

10 of receipt of an application under this subsection, 

11 the Secretary shall approve or disapprove such appli12 cation. 

13 ‘‘(4) CRITERIA FOR APPROVAL.—The Secretary 

14 may approve an application received under this sub15 section only if the Secretary has— 

16 ‘‘(A) determined that the State applicant 

17 would be at least as effective as the Secretary 

18 in issuing APDs or in approving drilling plans, 

19 as applicable; 

20 ‘‘(B) determined that the State program of 

21 the State applicant— 

22 ‘‘(i) complies with this Act; and 

23 ‘‘(ii) provides for the termination or 

24 modification of an issued APD or approved 


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1 drilling plan, as applicable, for cause, in2 cluding for— 

3 ‘‘(I) the violation of any condi4 tion of the issued APD or approved 

5 drilling plan; 

6 ‘‘(II) obtaining the issued APD 

7 or approved drilling plan by misrepre8 sentation; or 

9 ‘‘(III) failure to fully disclose in 

10 the application all relevant facts; 

11 ‘‘(C) determined that the State applicant 

12 has sufficient administrative and technical per13 sonnel and sufficient funding to carry out the 

14 State program; 

15 ‘‘(D) provided notice to the public, solicited 

16 public comment, and held a public hearing with17 in the State; 

18 ‘‘(E) determined that approval of the ap19 plication would not result in decreased royalty 

20 payments owed to the United States under sec21 tion 35(a), except as provided in subsection (e) 

22 of that section; and 

23 ‘‘(F) in the case of a State applicant seek24 ing authority under subsection (a)(3) to inspect 

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1 ble, entered into a memorandum of under2 standing with a State applicant that delineates 

3 the Federal and State responsibilities with re4 spect to such inspection and enforcement. 

5 ‘‘(5) DISAPPROVAL.—If the Secretary dis6 approves an application submitted under this sub7 section, then the Secretary shall— 

8 ‘‘(A) notify, in writing, the State applicant 

9 of the reason for the disapproval and any revi10 sions or modifications necessary to obtain ap11 proval; and 

12 ‘‘(B) provide any additional information, 

13 data, or analysis upon which the disapproval is 

14 based. 

15 ‘‘(6) RESUBMITTAL OF APPLICATION.—A State 

16 may resubmit an application under this subsection 

17 at any time. 

18 ‘‘(7) STATE MEMORANDUM OF UNDER19 STANDING.—Before a State submits an application 

20 under this subsection, the Secretary may, at the re21 quest of a State, enter into a memorandum of un22 derstanding with the State regarding the proposed 

23 State program— 

24 ‘‘(A) to delineate the Federal and State re25 sponsibilities for oil and gas regulations; 


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1 ‘‘(B) to provide technical assistance; and 

2 ‘‘(C) to share best management practices. 

3 ‘‘(c) ADMINISTRATIVE FEES FOR APDS.— 

4 ‘‘(1) IN GENERAL.—A State for which authority 

5 has been delegated under subsection (a)(1)(A) may 

6 collect a fee for each application for an APD that 

7 is submitted to the State. 

8 ‘‘(2) NO COLLECTION OF FEE BY SEC9 RETARY.—The Secretary may not collect a fee from 

10 the applicant or from the State for an application 

11 for an APD that is submitted to a State for which 

12 authority has been delegated under section 

13 44(a)(1)(A). 

14 ‘‘(3) FEE AMOUNT.—The fee collected under 

15 paragraph (1) shall be less than or equal to the 

16 amount of the fee collected by the Secretary under 

17 section 35(d)(2) from States for which authority has 

18 not been delegated under subsection (a)(1)(A). 

19 ‘‘(4) USE.—A State shall use 100 percent of 

20 the fees collected under this subsection for the ad21 ministration of the approved State program of the 

22 State. 

23 ‘‘(d) VOLUNTARY TERMINATION OF AUTHORITY.—A 

24 State may voluntarily terminate any authority delegated 

25 to such State under subsection (a) upon providing written 


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1 notice to the Secretary 60 days in advance. Upon expira2 tion of such 60-day period, the Secretary shall resume any 

3 activities for which authority was delegated to the State 

4 under subsection (a). 

5 ‘‘(e) APPEAL OF DENIAL OF APPLICATION FOR APD 

6 OR APPLICATION FOR APPROVAL OF DRILLING PLAN.— 

7 ‘‘(1) IN GENERAL.—If a State for which the 

8 Secretary has delegated authority under subsection 

9 (a)(1) denies an application for an APD or an appli10 cation for approval of a drilling plan, the applicant 

11 may appeal such decision to the Department of the 

12 Interior Office of Hearings and Appeals. 

13 ‘‘(2) FEE ALLOWED.—The Secretary may 

14 charge the applicant a fee for the appeal referred to 

15 in paragraph (1). 

16 ‘‘(f) FEDERAL ADMINISTRATION OF STATE PRO17 GRAM.— 

18 ‘‘(1) NOTIFICATION.—If the Secretary has rea19 son to believe that a State is not administering or 

20 enforcing an approved State program, the Secretary 

21 shall notify the relevant State regulatory authority 

22 of any possible deficiencies. 

23 ‘‘(2) STATE RESPONSE.—Not later than 30 

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1 cation of a possible deficiency under paragraph (1), 

2 the State shall— 

3 ‘‘(A) take appropriate action to correct the 

4 possible deficiency; and 

5 ‘‘(B) notify the Secretary of the action in 

6 writing. 

7 ‘‘(3) DETERMINATION.— 

8 ‘‘(A) IN GENERAL.—On expiration of the 

9 30-day period referred to in paragraph (2), if 

10 the Secretary determines that a violation of all 

11 or any part of an approved State program has 

12 resulted from a failure of the State to admin13 ister or enforce the approved State program of 

14 the State or that the State has not dem15 onstrated its capability and intent to administer 

16 or enforce such a program, the Secretary shall 

17 issue public notice of such a determination. 

18 ‘‘(B) APPEAL.—A State may appeal the 

19 determination of the Secretary under subpara20 graph (A) in the applicable United States Dis21 trict Court. The Secretary may not resume ac22 tivities under paragraph (4) pending the resolu23 tion of the appeal. 

24 ‘‘(4) RESUMPTION BY SECRETARY.—If the Sec25 retary has made a determination under paragraph 


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1 (3), the Secretary shall resume any activities for 

2 which authority was delegated to the State during 

3 the period— 

4 ‘‘(A) beginning on the date on which the 

5 Secretary issues the public notice under para6 graph (3); and 

7 ‘‘(B) ending on the date on which the Sec8 retary determines that the State will administer 

9 or enforce, as applicable, the approved State 

10 program of the State. 

11 ‘‘(5) STANDING.—States with approved regu12 latory programs shall have standing to sue the Sec13 retary for any action taken under this subsection. 

14 ‘‘(g) DEFINITIONS.—In this section: 

15 ‘‘(1) AVAILABLE FEDERAL LAND.—The term 

16 ‘available Federal land’ means any Federal land 

17 that— 

18 ‘‘(A) is located within the boundaries of a 

19 State; 

20 ‘‘(B) is not held by the United States in 

21 trust for the benefit of a federally recognized 

22 Indian Tribe or a member of such an Indian 

23 Tribe; 

24 ‘‘(C) is not a unit of the National Park 

25 System; 


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1 ‘‘(D) is not a unit of the National Wildlife 

2 Refuge System, except for the portion of such 

3 unit for which oil and gas drilling is allowed 

4 under law; 

5 ‘‘(E) is not a congressionally approved wil6 derness area under the Wilderness Act (16 

7 U.S.C. 1131 et seq.); and 

8 ‘‘(F) has been identified as land available 

9 for lease or has been leased for the exploration, 

10 development, and production of oil and gas— 

11 ‘‘(i) by the Bureau of Land Manage12 ment under— 

13 ‘‘(I) a resource management plan 

14 under the process provided for in the 

15 Federal Land Policy and Management 

16 Act of 1976 (43 U.S.C. 1701 et seq.); 

17 or 

18 ‘‘(II) an integrated activity plan 

19 with respect to the National Petro20 leum Reserve in Alaska; or 

21 ‘‘(ii) by the Forest Service under a 

22 National Forest management plan under 

23 the Forest and Rangeland Renewable Re24 sources Planning Act of 1974 (16 U.S.C. 

25 1600 et seq.). 


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1 ‘‘(2) DRILLING PLAN.—The term ‘drilling plan’ 

2 means a plan described under section 3162.3–1(e) of 

3 title 43, Code of Federal Regulations (or successor 

4 regulation). 

5 ‘‘(3) APD.—The term ‘APD’ means a permit— 

6 ‘‘(A) that grants authority to drill for oil 

7 and gas; and 

8 ‘‘(B) for which an application has been re9 ceived that contains— 

10 ‘‘(i) a drilling plan; 

11 ‘‘(ii) a surface use plan of operations 

12 described under section 3162.3–1(f) of title 

13 43, Code of Federal Regulations (or suc14 cessor regulation); 

15 ‘‘(iii) evidence of bond coverage; and 

16 ‘‘(iv) such other information as may 

17 be required by applicable orders and no18 tices. 

19 ‘‘(4) SECRETARY.—The term ‘Secretary’ means 

20 the Secretary of the Interior. 

21 ‘‘(5) STATE.—The term ‘State’ means each of 

22 the several States. 

23 ‘‘(6) STATE APPLICANT.—The term ‘State ap24 plicant’ means a State that has submitted an appli25 cation under subsection (b). 


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1 ‘‘(7) STATE PROGRAM.—The term ‘State pro2 gram’ means a program that provides for a State 

3 to— 

4 ‘‘(A) issue APDs or approve drilling plans, 

5 as applicable, on available Federal land; and 

6 ‘‘(B) impose sanctions for violations of 

7 State laws, regulations, or any condition of an 

8 issued APD or approved drilling plan, as appli9 cable. 

10 ‘‘(8) SUNDRY NOTICE.—The term ‘sundry no11 tice’ means a written request— 

12 ‘‘(A) to perform work not covered under an 

13 APD or drilling plan; or 

14 ‘‘(B) for a change to operations covered 

15 under an APD or drilling plan.’’. 

16 (b) INSPECTION FEES.—Section 108 of the Federal 

17 Oil and Gas Royalty Management Act of 1982 (30 U.S.C. 

18 1718) is amended by adding at the end the following: 

19 ‘‘(d) INSPECTION FEES FOR CERTAIN STATES.— 

20 ‘‘(1) IN GENERAL.—The Secretary shall collect 

21 nonrefundable inspection fees in the amount speci22 fied in paragraph (2), from each designated operator 

23 under each oil and gas lease on Federal or Indian 

24 land that is subject to inspection under subsection 

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1 retary has delegated authority under section 

2 44(a)(1)(A) of the Mineral Leasing Act. 

3 ‘‘(2) AMOUNT.—The amount of the fees col4 lected under paragraph (1) shall be— 

5 ‘‘(A) $700 for each lease or unit or 

6 communitization agreement with no active or 

7 inactive wells, but with surface use, disturbance 

8 or reclamation; 

9 ‘‘(B) $1,225 for each lease or unit or 

10 communitization agreement with 1 to 10 wells, 

11 with any combination of active or inactive wells; 

12 ‘‘(C) $4,900 for each lease or unit or 

13 communitization agreement with 11 to 50 wells, 

14 with any combination of active or inactive wells; 

15 and 

16 ‘‘(D) $9,800 for each lease or unit or 

17 communitization agreement with more than 50 

18 wells, with any combination of active or inactive 

19 wells. 

20 ‘‘(3) ONSHORE ENERGY SAFETY FUND.—There 

21 is established in the Treasury a fund, to be known 

22 as the ‘Onshore Energy Safety Fund’ (referred to in 

23 this subsection as the ‘Fund’), into which shall be 

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1 graph (1) and which shall be available as provided 

2 under paragraph (4). 

3 ‘‘(4) AVAILABILITY OF FEES.—Notwithstanding 

4 section 3302 of title 31, United States Code, all 

5 amounts deposited in the Fund— 

6 ‘‘(A) shall be credited as offsetting collec7 tions; 

8 ‘‘(B) shall be available for expenditure for 

9 purposes of carrying out inspections of onshore 

10 oil and gas operations in those States for which 

11 the Secretary has delegated authority under 

12 section 44(a)(1)(A) of the Mineral Leasing Act; 

13 ‘‘(C) shall be available only to the extent 

14 provided for in advance in an appropriations 

15 Act; and 

16 ‘‘(D) shall remain available until expended. 

17 ‘‘(5) PAYMENT DUE DATE.—The Secretary 

18 shall require payment of any fee assessed under this 

19 subsection within 30 days after the Secretary pro20 vides notice of the assessment of the fee. 

21 ‘‘(6) PENALTY.—If a designated operator as22 sessed a fee under this subsection fails to pay the 

23 full amount of the fee as prescribed in this sub24 section, the Secretary may, in addition to utilizing 

25 any other applicable enforcement authority, assess 


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1 civil penalties against the operator under section 109 

2 in the same manner as if this section were a mineral 

3 leasing law. 

4 ‘‘(7) NOTIFICATION TO STATE OF NONCOMPLI5 ANCE.—If, on the basis of any inspection under sub6 section (b), the Secretary determines that an oper7 ator is in noncompliance with the requirements of 

8 mineral leasing laws and this chapter, the Secretary 

9 shall notify the State of such noncompliance imme10 diately.’’. 

11 (c) EXISTING AUTHORITIES.—Section 390(a) of the 

12 Energy Policy Act of 2005 (42 U.S.C. 15942(a)) is 

13 amended— 

14 (1) by striking ‘‘Action by the Secretary’’ and 

15 inserting ‘‘The Secretary’’; 

16 (2) by striking ‘‘with respect to any of the ac17 tivities described in subsection (b) shall be subject to 

18 a rebuttable presumption that the use of’’ and in19 serting ‘‘shall apply’’; and 

20 (3) by striking ‘‘would apply if the activity’’ and 

21 inserting ‘‘for each action described in subsection (b) 

22 if the action’’. 


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1 SEC. 203. CONVEYANCE TO CERTAIN STATES OF PROPERTY 

2 INTEREST IN STATE SHARE OF ROYALTIES 

3 AND OTHER PAYMENTS. 

4 (a) IN GENERAL.—Section 35 of the Mineral Leasing 

5 Act (30 U.S.C. 191) is amended— 

6 (1) in the first sentence of subsection (a), by 

7 striking ‘‘shall be paid into the Treasury’’ and in8 serting ‘‘shall, except as provided in subsection (e), 

9 be paid into the Treasury’’; 

10 (2) in subsection (c)(1), by inserting ‘‘and ex11 cept as provided in subsection (e)’’ before ‘‘, any 

12 rentals’’; and 

13 (3) by adding at the end the following: 

14 ‘‘(e) CONVEYANCE TO CERTAIN STATES OF PROP15 ERTY INTEREST IN STATE SHARE.— 

16 ‘‘(1) IN GENERAL.—Notwithstanding any other 

17 provision of law, on request of a State and in lieu 

18 of any payments to the State under subsection (a), 

19 the Secretary of the Interior shall convey to the 

20 State all right, title, and interest in and to the per21 centage specified in that subsection for that State 

22 that would otherwise be required to be paid into the 

23 Treasury under that subsection. 

24 ‘‘(2) AMOUNT.—Notwithstanding any other 

25 provision of law, after a conveyance to a State under 

26 paragraph (1), any person shall pay directly to the 


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1 State any amount owed by the person for which the 

2 right, title, and interest has been conveyed to the 

3 State under this subsection. 

4 ‘‘(3) NOTICE.—The Secretary of the Interior 

5 shall promptly provide to each holder of a lease of 

6 public land to which subsection (a) applies that is lo7 cated in a State to which right, title, and interest is 

8 conveyed under this subsection notice that— 

9 ‘‘(A) the Secretary of the Interior has con10 veyed to the State all right, title, and interest 

11 in and to the amounts referred to in paragraph 

12 (1); and 

13 ‘‘(B) the leaseholder is required to pay the 

14 amounts directly to the State. 

15 ‘‘(4) REPORT.—A State that has received a 

16 conveyance under this subsection shall report month17 ly to the Office of Natural Resources Revenue of the 

18 Department of the Interior the amount paid to such 

19 State pursuant to this subsection. 

20 ‘‘(5) APPLICATION WITH RESPECT TO

21 FOGRMA.—With respect to the interest conveyed to 

22 a State under this subsection from sales, bonuses, 

23 royalties (including interest charges), and rentals 

24 collected under the Federal Oil and Gas Royalty 

25 Management Act of 1983 (30 U.S.C. 1701 et seq.), 


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1 this subsection shall only apply with respect to 

2 States for which the Secretary has delegated any au3 thority under section 44(a)(1).’’. 

4 (b) ADMINISTRATIVE COSTS.—Section 35(b) of the 

5 Mineral Leasing Act (30 U.S.C. 191(b)) is amended by 

6 striking ‘‘In determining’’ and inserting ‘‘Except with re7 spect to States for which the Secretary has delegated any 

8 authority under section 44(a)(1), in determining’’. 

9 (c) CONFORMING AMENDMENT.—Section 205(f) of 

10 the Federal Oil and Gas Royalty Management Act of 1982 

11 (30 U.S.C. 1735(f)) is amended by striking ‘‘All’’ in the 

12 seventh sentence and inserting ‘‘Subject to subsection (e) 

13 of section 35 of the Mineral Leasing Act (30 U.S.C. 191), 

14 all’’. 

15 SEC. 204. PERMITTING ON NON-FEDERAL SURFACE ES16 TATE. 

17 The Mineral Leasing Act (30 U.S.C. 181 et seq.) is 

18 amended by inserting after section 44 (as added by section 

19 202(a)(2)) the following: 

20 ‘‘SEC. 45. PERMITTING ON NON-FEDERAL SURFACE ESTATE. 

21 ‘‘(a) PERMITS NOT REQUIRED FOR CERTAIN ACTIVI22 TIES ON NON-FEDERAL SURFACE ESTATE.—The fol23 lowing activities conducted on non-Federal surface estate 

24 shall not require a Bureau of Land Management drilling 

25 permit under the Federal Oil and Gas Royalty ManageVerDate Sep 11 2014 23:17 Nov 03, 2017 Jkt 079200 PO 00000 Frm 00048 Fmt 6652 Sfmt 6201 E:\BILLS\H4239.IH H4239

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1 ment Act of 1982 (30 U.S.C. 1701 et seq.) or section 

2 3164.1 of title 43, Code of Federal Regulations (or suc3 cessor regulation), and shall not be considered a major 

4 Federal action under the National Environmental Policy 

5 Act of 1969 (42 U.S.C. 4321 et seq.): 

6 ‘‘(1) Oil and gas operations for the exploration 

7 for or development or production of oil and gas in 

8 a lease or unit or communitization agreement in 

9 which the United States holds a mineral ownership 

10 interest of 50 percent or less. 

11 ‘‘(2) Oil and gas operations that may have po12 tential drainage impacts, as determined by the Bu13 reau of Land Management, on oil and gas in which 

14 the United States holds a mineral ownership inter15 est. 

16 ‘‘(b) DOI NOTIFICATION.—The Secretary of the In17 terior shall provide to each State a map or list indicating 

18 Federal mineral ownership within that State. 

19 ‘‘(c) STATE NOTIFICATION.—Each State that has 

20 issued an APD or approved a drilling plan that would im21 pact or extract oil and gas owned by the United States 

22 shall notify the Secretary of the Interior within 7 days 

23 of issuing an APD. 

24 ‘‘(d) ROYALTIES.—Nothing in this section shall affect 

25 the amount of royalties due to the United States under 


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1 this Act from the production of oil and gas or alter the 

2 Secretary’s authority to conduct audits and collect civil 

3 penalties pursuant to the Federal Oil and Gas Royalty 

4 Management Act of 1982 (30 U.S.C. 1711 et seq.). 

5 ‘‘(e) APPLICATION.—This section shall only apply 

6 with respect to States for which the Secretary has dele7 gated any authority under section 44(a)(1).’’. 

8 SEC. 205. STATE AND TRIBAL AUTHORITY FOR HYDRAULIC 

9 FRACTURING REGULATION. 

10 The Mineral Leasing Act (30 U.S.C. 181 et seq.) is 

11 amended by inserting after section 45 (as added by section 

12 204) the following: 

13 ‘‘SEC. 46. STATE AND TRIBAL AUTHORITY FOR HYDRAULIC 

14 FRACTURING REGULATION. 

15 ‘‘(a) IN GENERAL.—The Secretary of the Interior 

16 shall not enforce any Federal regulation, guidance, or per17 mit requirement regarding hydraulic fracturing relating to 

18 oil, gas, or geothermal production activities on or under 

19 any land in any State that has regulations, guidance, or 

20 permit requirements for that activity. 

21 ‘‘(b) STATE AUTHORITY.—The Secretary of the Inte22 rior shall defer to State regulations, guidance, and permit 

23 requirements for all activities regarding hydraulic frac24 turing relating to oil, gas, or geothermal production activi25 ties on Federal land. 


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1 ‘‘(c) TRANSPARENCY OF STATE REGULATIONS.— 

2 ‘‘(1) IN GENERAL.—Each State shall submit to 

3 the Bureau of Land Management a copy of the reg4 ulations of such State that apply to hydraulic frac5 turing operations on Federal land, including those 

6 that require disclosure of chemicals used in hydrau7 lic fracturing operations. 

8 ‘‘(2) AVAILABILITY.—The Secretary of the In9 terior shall make available to the public on the 

10 website of the Secretary the regulations submitted 

11 under paragraph (1). 

12 ‘‘(d) TRIBAL AUTHORITY ON TRUST LAND.—The 

13 Secretary of the Interior shall not enforce any Federal reg14 ulation, guidance, or permit requirement with respect to 

15 hydraulic fracturing on any land held in trust or restricted 

16 status for the benefit of a federally recognized Indian 

17 Tribe or a member of such an Indian Tribe, except with 

18 the express consent of the beneficiary on whose behalf 

19 such land is held in trust or restricted status. 

20 ‘‘(e) HYDRAULIC FRACTURING DEFINED.—In this 

21 section the term ‘hydraulic fracturing’ means the process 

22 of creating small cracks, or fractures, in underground geo23 logical formations for well stimulation purposes of bring24 ing hydrocarbons into the wellbore and to the surface for 

25 capture.’’. 


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1 SEC. 206. REVIEW OF INTEGRATED ACTIVITY PLAN FOR 

2 THE NATIONAL PETROLEUM RESERVE IN 

3 ALASKA. 

4 The Secretary of the Interior shall— 

5 (1) conduct a review of the National Petroleum 

6 Reserve-Alaska Final Integrated Activity Plan/Envi7 ronmental Impact Statement, for which notice of 

8 availability was published in the Federal Register on 

9 December 28, 2012 (77 Fed. Reg. 76515), to deter10 mine which lands within the National Petroleum Re11 serve in Alaska should be made available for oil and 

12 gas leasing; and 

13 (2) make available the lands described in para14 graph (1) for oil and gas leasing. 

Æ 


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